Labrador City is a town in western Labrador (part of the Canadian province of Newfoundland and Labrador), near the Quebec border. As of 2006, its population is 7,240. Labrador City is neighboured by Wabush, a smaller town with a population of approximately 1,739 as of 2006; together, the “twin towns” are known as Labrador West. Labrador City was founded in the 1960s to accommodate employees of the Iron Ore Company of Canada, and iron ore mining continues to be the primary industry in the town.
Labrador City was built around the rich iron ore deposits of the Labrador Trough by the Iron Ore Company of Canada (IOC) in the 1960s. The Carol Project is the major iron ore mining operation for the area. In 2008, IOC and their parent company Rio Tinto announced it would spend $800 million to develop additional mines in the region. Only a few months after announcing the second phase of their expansion the project was shelved due to the economic recession and low demand for steel. With the World recovering from the economic crisis it is believed IOC will go ahead with their planned expansion in the near future.

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